The deal to go private is being funded by a group of investors. The offer represents a 17% premium to QIHU’s stock price as of June 16, 2015. The acquisition will be funded via a combination of cash and loans.
Qihoo 360’s Class A and B shares will be cancelled and shareholders will receive $51.33 in cash for each. American Depositary Shares will also be cancelled and holders will be given $77 in cash. The CEO and director of the company won’t receive payments when shares are cancelled.
Qihoo 360’s deal to go private is expected to close during the first half of 2016 following regulatory approval and approval from two-thirds of QIHU shareholders.
QIHU shares were up 1% as of Friday morning.
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